Sell or scrap: 318iA (Sep 2000)

[eucalyptus]

Hi, I'm wondering if I should sell or scrap my 318 - which is more worthwhile? It's more than 5 years old, so I guess it cannot be exported (?)

Model: 318iA / 4DR
Reg: Sep 2000 (about 5.5 years)
Remaining PARF + COE: $50,000+
Mileage: 72,000km
Color: Midnight blue

I was told if I scrap the car, there may be some residual value over and above the remaining PARF + COE amount. Is this true?

Also, was told by some dealers that if I sell the car without buying another car, there will be a 4.5% or 5.5% deduction from the remaining PARF + COE amount. Is this govt tax or 'service charge' to the dealer?

Appreciate advice. Thanks!!

 

[LWYD]

Re: Sell or scrap: 318iA (Sep 2000)

Hi let me try to help with what I know...

The scrap value (PARF + COE rebate) is a paper value which you can only use to offset the purchase price of a new car. As such, when dealers help you with the proceeding without u buying a new car from them, they gonna charge you some "admin" fee for "buying" over that paper from you.

The residual value i believe is referred to the body value and different exporters will give different quotes. Gotta shop around.

Hope this helps! ( Of course www.onemotoring.com.sg is a good place to read up)

Cheers!
Gerald

 

[T6]

Re: Sell or scrap: 318iA (Sep 2000)

The paper value has been explained by LWYD. The dealer or exporter will ask you whether you want your paper back. If you want it back, they will process and only pay you for the car body value. If you do not want your paper back coz you do not plan to buy a new car, then the secondhand dealer/exporter will pay you for the paper as well but take a commission of anything + or - 5% off the paper value (the rate changes from time to time depending on the market demand for papers). The dealer/exporter takes this commission because it covers him for his risk in keeping your paper. Of coz he sells the paper to new car dealers like PML , Toyota etct etc.

Now if you choose to keep the paper coz you are planning to buy a new car, do note that the paper value can only be used for certain components of the new car price. If I remember correctly, it can be used for 110% of ARF and road tax etc. So say for discussion sake if your paper is worth $60k and only $40k can be used for your new car (of coz if you buy an expensive car, the paper value may be fully utilised), then you will ask what happens to the balance unused $20k? Your new car seller may choose to absorb it and pay you the $20k or offer to take it but at a commission similar to or less than what second hand dealers/exporters will take.

Hope these extra info helps.

P/s: I recommend you advertise your car on a weekend on your own to get a better sense of how much your car is worth and how much the car body is worth if it is to be exported. I am sure both dealers and exporters will call you.